From April 1, 2026, India introduced three major financial and compliance reforms—the Income Tax Act, 2025, mandatory two-factor authentication for digital payments, and revised PAN application rules—to simplify taxation, enhance security, and strengthen identity verification.
1. 🧾 New Income Tax System
- Replaces the old Income Tax Act, 1961.
- Features simplified tax slabs, higher deductions, and streamlined capital gains rules.
- Revised TDS/TCS norms and ITR deadlines for better compliance.
- Objective: Make taxation simpler and modern.
2. 🔐 Secure Digital Payments
- Mandated by the Reserve Bank of India.
- Two-factor authentication (2FA) required for all transactions (UPI, cards, net banking).
- Enhances protection against fraud and boosts trust in digital systems.
3. 🆔 New PAN Card Rules
- Aadhaar linkage mandatory for new PAN applications.
- Fully digital application and e-verification process.
- Stricter KYC norms to prevent misuse.
- Faster PAN issuance.
